Determinants of E-Government Development: Some Methodological Issues

Previous papers that have attempted to analyze the determinant factors of the implementation of e-government present serious limitations owing to multicollinearity and endogeneity problems. In this line, the aim of this paper is to analyze the factors which promote the development of the electronic administration in the national governments of 192 countries worldwide by simultaneous equations in order to overcome the cited problems. Our findings emphasize that there is a bidirectional relation between government effectiveness and the sophisticated online presence of the administration. Surprisingly, countries with higher economic and political resources available do not necessarily show greater e-government development than others.